South Africa Inflation Rises to 4.4%, Below Forecast

Statistics South Africa released the August Consumer Price Index on 23 September 2026, showing annual inflation at 4.4%, up from 4.3% in July. Month-on-month CPI was unchanged. Housing and utilities rose 5.2% year on year and contributed 1.3 percentage points. Transport rose 8.8% and contributed 1.2 percentage points. Insurance and financial services rose 5.7% and contributed 0.6 percentage points. Fuel was 20.0% dearer year on year while its index fell 1.3% month on month. Food and non-alcoholic beverages rose 1.1% year on year. Core inflation was 4.1%. Services inflation was 5.1% and goods inflation was 3.3%. The SARB repo rate was 7% and the prime rate 10.5% as of the July decision. The Monetary Policy Committee interest-rate statement was delivered the same day. Elna Moolman said higher fuel prices had not yet spread widely into other prices and that the longer those costs remain elevated, the greater the risk of second-round effects. Lisette IJssel de Schepper pointed to weak domestic demand, labour-market pressure and a stronger rand as factors that could limit the need for another increase. She said, "I don't think we'll see a repo rate cut. I think it's going to be a finely balanced call between a hike and a hold." Her team favours no change; she said the consensus forecast points to a 25-basis-point hike. CONTESTED: no factual disputes found in record.